Choose the correct answer from the given code

(A) Only 1 and 2

(B) Only 1 and 3

(C) Only 2 and 3

(D) All the above

6. Consider the following statements:

Free Trade Agreements (FTA’s) can result in inverted duties Vis a Vis other non FTA partners.

Choose the correct answer from the following code:

(A) Only 1

(B) Only 2

(C) Both 1 and 2

(D) None of the above

7. Consider the following statements about GAAR:

It is a set of rules to prevent tax avoidance by arrangements primarily aimed at availing tax benefit without any commercial substance.

GAAR has come into effect from 1st April 2017 in India

Choose the correct answer from the following code:

(A) Only 1

(B) Only 2

(C) Both 1 and 2

(D) None of the above

8. Consider the following about the amendments in DTAA between India and Singapore:

The amendment provides for residence based taxation for capital gain rather than source-based.

The amendment will streamline investment prevent double non-taxation

Choose the correct answer from the following code

(A) Only 1

(B) Only 2

(C) Both 1 and 2

(D) None of the above

9. The Global Slavery Index is published by which of the following:

(A) German watch

(B) Amnesty International

(C) Walk free foundation

(D) Red Cross foundation

10. “CORSIA” often seen in the news is associated with which of the following:

(A) Refugee migration

(B) Nuclear proliferation

(C) Civil aviation

(D) Corruption

11. Consider the following statements

The Fiscal Responsibility and Budget Management ( FRBM) Review Committee Report has recommended a debt to GDP ratio of 60% for the general (combined) government by 2023, comprising 40% for the Central Government and 20% for the State Governments.

The Central Government has domestic liabilities of 21% of GDP as compared to that of 49% of GDP of the State Governments.

As per the Constitution of India, it is mandatory for a State to take the Central Government’s consent for raising any loan if the former owes any outstanding liabilities to the latter.

Which of the statements given above is/are correct?

(A) 1 only

(B) 2 and 3 only

(C) 1 and 3 only

(D) 1, 2 and 3

12. The Fourteenth Finance Commission assigned different weight to the following parameters for distribution of tax proceeds to the States

Income distance

Population

Demographic changes

Area

Arrange the aforesaid parameters in descending order in terms of their weights

(A) 1-2-3-4

(B) 1-2-4-3

(C) 1-3-2-4

(D) 4-3-2-1

13. The rate which the income tax is imposed in India is called….

(A) Digressive rate

(B) Progressive rate

(C) Regressive rate

(D) Proportionate rate

14. Which among the following is the short name of highest authority in India for Indirect Taxes?

(A) CBED

(B) CBDT

(C) CBEC

(D) CBIT

15. Which of the following is not imposed by the Central Government?

(A) Agricultural tax

(B) Corporation tax

(C) Custom duty

(D) Sales tax

Answers

C

B

C

D

B

B

C

B

C

C

C

B

A

In India, income tax is imposed at digressive rate. Under the digressive rate the rate of tax increases as the income increases initially while after a certain level of income it becomes proportionate.

In India, the rate of tax on income up to Rs. 10 lakh increases while tax rate becomes proportionate after the 10 lac. However, the Government imposes a surcharge on those earning more than Rs.50 lakh.